Here are ways to get better offers on car insurance premium
With the changing landscape of automobile industry, the car insurance industry is also evolving around the world!
Auto companies are coming up with new car models almost every year. Be it a necessity or status symbol, people are showing constant interest in buying them. As a result, there are a number of insurance providers ruling the market by offering car insurance plans as per customers’ need. Insurance providers are upping their game to lure new customers and expand their market share. The buyers are also able to enjoy numerous benefits as a result of these offers. One of the major benefits that the customers can derive is discounts on car insurance premiums.
If you have just purchased a car then you will also need to buy an auto-insurance plan for it. While purchasing a car insurance policy, there are certain ways in which you can save up on the premium amount. Also, before zeroing down on a policy, you should use online tools like car insurance premium calculator which can help you deduce the premium for a new, as well as used, car. Let’s delve into some things that you can do to grab great discounts on your car insurance premium-
Car Owners Should Maintain a Proper Driving Record
If you have a good driving record with no accidents and minimal traffic violations, then you have greater chances of getting discount offers as compared to other average users in the market. Your driving abilities can play a major role in determining your car’s insurance premium. For policy renewal, several factors are also taken into account before settling on the premium price.
However, what is the rationale behind this? Those who drive cautiously impose fewer risks for the insurer, and so they offer nominal premium rates to better drivers. Nearly every insurance company focuses on the driving history of the applicant whilst calculating the premium amount. Additionally, your claim history is also taken into consideration while assessing your driving records.
Should you do a Preliminary Research on Your Own End?
As you search for the best car models online and offline, you should simultaneously research for the best auto insurance companies as well. If you can spend a fortune on purchasing a car, paying a small amount on insurance should not pinch you, especially with the kind of benefits it brings.
There are different insurance companies in the market and the cost of every car insurance plan varies from one insurance company to other. You should try to gather quotes from different insurance providers and compare them before making the final purchase. A third-party insurance aggregator can help you compare the plans in a non-biased manner.
Try to narrow down to a few insurance companies that fit your requirements and are providing maximum coverage. Price should not be the only factor while comparing plans online. However, you should take into consideration factors like policy coverage, the stability of the company, and the claim settlement ratio.
Are You Making Claims for Minor Damages to Your Car?
If yes, then you certainly should not practice it. Suppose, it’s been 1 year since you purchased your car and you have not made a single claim yet. In this case, you will get a No-Claim-Bonus (NCB) from your insurer. For the love of your car’s well-being, do not end up making minor insurance claims. This way you will miss out on the benefits of No-Claim-Bonus on your policy. No-Claim-Bonus can get you great discounts on your premium charges.
The idea behind this is- why to claim for small damages that can be fixed with a small amount of money? If you are short of cash, try to use your credit card, provided that you have one. All the car indemnity transactions are registered with the auto insurer in the name of the policyholder or the car owner. When you apply for car insurance the next time, this will be accessed by the insurer and used as a factor in determining the premium charges.
Why don’t you go for higher voluntarily deductibles and lower the total insurance premium cost on your car insurance?
It doesn’t matter if you have recently bought a car or are looking for a policy for your existing car. If you are confident about your driving skills, you can always opt for a higher voluntary deductible. This is the pre- decided percent of the claimed amount that you will have to pay from your own pocket at the time of making a claim. Only after your contribution would the insurance company settle the claim.
This way, if there is any accidental damage or third party vehicular damage, the cost of indemnity that the insurer would have to bear will be reduced. Hence, by opting for deductibles, you will be required to pay a nominal premium only. When you claim for third-party insurance cover, deductibles are mandatory anyway.
Word of caution- You should volunteer for higher deductibles only if you are confident about your driving skills and can manage to pay the compensation amount.
Have You Thought Of Enhancing Your Car Safety Features?
Your insurer will take into consideration a number of risk factors when evaluating the prices of your policy premium. If you check the insurance premium online using a car insurance premium calculator, you will be able to understand the cost-difference.
A car is a valuable asset and the safety of driver and passengers should be the top priority. You can add safety features like Curtain Air-Bags, Active Braking Systems, and Blind-spot Warning System to add another layer of security. Enhancing the safety features of your car is another way of reducing your car insurance premium charges. Why do you get discounts on car insurance premium for getting these features installed? Because, these features reduce the overall accidental risks and furthermore, diminish the chances of you making a claim. Simply put, an anti-theft feature will not only protect your car from being stolen, will also minimize the risk taken by the insurance company for your car.
Summing it up-
There are a number of car models in the market that come with innovative features to meet the increasing market demands. Similarly, the insurance industry is ramping up by making it easier for the customers to obtain better offers on car insurance premium. By saving on the premium amount, you can get other add-ons to augment the coverage of your policy, like zero-depreciation cover. Certainly, the above-mentioned measures will improve your chances of cutting down on the cost of car insurance premium.
